INDONESIA – Bright prospects for the Southeast Asian Automotive Industry
Indonesia with over 260 million of the population (40% of the total ASEAN population) has become ASEAN’s largest economy in the region. Indonesia’s Statistics Agency (BPS) announced that gross domestic product (GDP) of Indonesia expanded 5.06 percent year-on-year (y/y) in the first quarter of 2018. With the largest economy in ASEAN, Indonesia expects passenger vehicle growth at a CAGR of 7.4% to 2020. Vehicle sales in ASEAN grew 5 percent year-on-year to 3.3 million and Indonesia remained the biggest car sales market as well as the second-biggest car producer in the ASEAN region by contributed almost one-third to the total. In Indonesia, car sales rose 11,1 % year-on-year to 95,892 vehicles (wholesale) in January 2018 according to latest data from Association.
As the largest economy country in ASEAN, Indonesia estimates the growth of passenger vehicles at a CAGR of 7.4% for 2020. Indonesia continues to position as the largest car market in ASEAN. The Indonesia government has set a target to increase car exports to 450.000 in 2019. Indonesia is also estimated to be the leading car manufacturer in the ASEAN region by 2030.